IOC to invest Rs 11,000 cr in FY14 on expansion

Kolkata: Indian Oil Corporation (IOC) on Thursday said it will invest Rs 10,000-11,000 crore during the 2013-14 fiscal.

"We are expanding our network and we will spend around Rs 10,000-11,000 crore a year, so that is the expenditure that we will incur in FY14," IOC Chairman R S Butola said here.

IOC would spend Rs 56,000 crore over the next five years on constant price basis in the 12th Plan period, he added.

Butola said additionally IOC would spend Rs 3,500-Rs 4,000 crore a year on non-plan areas like changing pumps.

Asked whether unrest in the Arab region was hurting production, he said IOC has some blocks in Libya but these are small and there is no production, only exploration.

"So, production has not been affected. Exploration activity is also at a very preliminary level," Butola said.

Meanwhile, IOC has implemented 80-85 of the MB Lal committee's recommendation on safety while it was 72 percent for the entire industry.

IOC Director Raj Kr Ghosh speaking at the annual Oil Industry Safety Directorate conference said the company is also planning to engage an independent external agency for handholding support to promote safety culture in the organisation.